|Date 28.08.2009 faculty of spatial sciences ursi 1 Entry into the working life: spatial mobility...

1|Date 28.08.2009

faculty of spatial sciences ursi

Entry into the working life: spatial mobility and job-match quality of

higher educated graduates

Viktor Venhorst (URSI, University of Groningen)Frank Cörvers (ROA, Maastricht University)

2|Date 28.08.2009


Overview of the presentation

› Dutch higher educated graduates: distance moved and quality of the job-match

› Endogeneity: (un-)observed factors co-determine mobility and job-match

› Self-selection

› This paper: mobility prior to study as instrument

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Data: college and university graduates

› Sample: Cohorts ’04-’05 through ’06–’07› Observed 18 months after graduation (’06-’08)

Job, study and demographic characteristics Location information (municipalities):- Housing area at age 16 (home region)- Study region- Work region

› N ~ 36000

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(Repeat-)mobility among Dutch graduates

› Measurement: Location at age 16 to Study location (km) Study location to Work location (km)

› Mobility before and after study correlated (0.43)

› Long distance (change of NUTS 1 region) 15.0% repeat mobility (11.7% return to home

NUTS 1 region) 60.1% no change in NUTS 1 region observed

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NUTS 3 Working regions; inflow higher educated graduates per capita active labour force

NUTS 3 regions, share of active labour force in higher or scientific jobs

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DestinationNorth East West South

Origin North 2.12 2.36 2.54 2.37East 2.45 2.22 2.50 2.40West 2.39 2.32 2.37 2.46South 2.57 2.47 2.61 2.40

Average graduate incomes, NUTS 3 working regions.

Average graduate incomes, transitions between NUTS 1 study / working regions.

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… however this distance is not covered between study and work …

… but before the start of the study, coming from the home region

Large distances covered to reach central working regions ...

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Multivariate analysis : wages

› OLS and 2SLS› Instruments: distance moved prior to studies

and NUTS 1 mover (dummy)› Tests for exogeneity and overidentification

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OLS 2SLSMobility

Distance moved prior to studies -0.36***Long distance mover prior to studies (1) 0,02Distance moved after studies 1.06*** -0.51Return mover (1) -0.07*** 0.01

Study and other activitiesGraduation grade low (1) -0.03*** -0.03***Graduation grade high (1) 0.06*** 0.06***Internship (1) 0.05*** 0.05***Relevant workexperience (1) 0.05*** 0.05***Follow up education (1) -0.31*** -0.31***

NUTS 3 working region characteristicsUnemployment college graduates -0.01*** -0.01***Share of jobs of higher / scientific level -0.21** -0.21**Active labour force x 1000000 0.02*** 0.02***Average value housing x 100000 0.05*** 0.05***

Other Controls (not reported here)Year dummies Yes YesDemographics Yes YesField of study Yes YesObservation window Yes YesConstant Yes Yes

N 36897 36897Adj R squared 0,28 0,28

Monthly Real Income

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Alternative job-match measures

OLS 2SLS OLS 2SLS OLS 2SLSMobility

Distance moved prior to studies 1.24*** 0.12** -0.17***Long distance mover prior to studies (1) -0.06 0.00 0.02**Distance moved after studies 1.66*** 7.25*** -0.20*** 0.36 0.15** -0.55*Return mover (1) -0.02 -0.29*** 0.01 -0.01 -0.01 0.04**

# of months unemployed before the first

job Looking for other job

Subjective evaluation: job-match is sufficient or

good

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Conclusions

› Migration prior to studies / selection of study location appears selective

› Job-match quality increases with favourable regional economic circumstances, ability and extra curricular activities

› Mobility, after correction for endogeneity through pre-study migration, has little or adverse effects on job-match quality

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Thank you for your attention

[email protected]

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OLS 2SLS OLS 2SLS OLS 2SLSMobility

Distance moved prior to studies 1.24*** 0.12** -0.17***Long distance mover prior to studies (1) -0.06 0.00 0.02**Distance moved after studies 1.66*** 7.25*** -0.20*** 0.36 0.15** -0.55*Return mover (1) -0.02 -0.29*** 0.01 -0.01 -0.01 0.04**

Study and other activitiesGraduation grade low (1) 0.16*** 0.16*** 0.03*** 0.03*** -0.06*** -0.06***Graduation grade high (1) -0.14*** -0.13*** -0.03*** -0.03*** 0.04*** 0.04***Internship (1) 0.03 0.03 0.01 0.01 0.03*** 0.03***Relevant workexperience (1) -0.32*** -0.32*** -0.01* -0.01* 0.05*** 0.05***Follow up education (2) -0.44*** -0.41*** -0.06*** -0.06*** -0.02*** -0.02***

NUTS 3 working region characteristicsUnemployment college graduates 0.01 0.00 0.00 0.00 0.00 0.00Share of jobs of higher / scientific level 0.26 0.27 0.08 0.08 -0.16** -0.16**Active labour force x 1000000 0.01 0.01 -0.00** -0.00* 0.00 0.00Average value housing x 100000 -0.06 -0.07 -0.02* -0.02* 0.01 0.01

Other Controls (not reported here)Year dummies Yes Yes Yes Yes Yes YesDemographics Yes Yes Yes Yes Yes YesField of study Yes Yes Yes Yes Yes YesObservation window Yes Yes Yes Yes Yes YesConstant Yes Yes Yes Yes Yes Yes

N 40246 40246 40301 40301 40043 40043Adj R squared 0.03 0.02 0.03 0.03 0.03 0.03

# of months unemployed before the first

job Looking for other job

Subjective evaluation: job-match is sufficient or

good

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NUTS 3 working location, college and university graduates

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Exogenous variables, NUTS 3 regions

|Date 28.08.2009 faculty of spatial sciences ursi 1 Entry into the working life: spatial mobility...

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